Recounting the Saga of Milestones Achieved In Pune Housing Market In 2024
The Indian real estate sector has been making waves in recent years, with the Pune market witnessing a fascinating upward trend. Ranked as ‘the most liveable city’ in India several times, the city is a unique composite of cultural richness, supreme infrastructure, and a booming IT and commercial hub. Apart from these factors, the city in and of itself has an inexplicable allure that captures the hearts of anyone who has had the opportunity to live here.
Record Breaking Registrations
It is no wonder then that the year 2024 has brought with it the highest property registrations ever in the city, with an unprecedented 52% year-on-year growth. According to reports by the Maharashtra government’s Department of Registrations and Stamps, the Inspector General of Registration and Controller of Stamp (IGR), in March 2024, 21,744 properties were registered, compared to 14,309 during the same month of the previous year.
The report also noted a substantial increase in stamp duty collection in the month, with Rs 804 crore collected in March 2024, accounting for a 30% increase YoY. In the same year, 17,575 properties were registered, with a collection of Rs 620 crore. This consistent increase in registration and stamp duty collection underlines a pattern of burgeoning supply-demand dynamics, signalling a robust housing market in Pune in the coming years.
Residential Market Trends
While property registrations have inarguably shot up in March 2024, the rise hasn’t been uniform across different demographics, price ranges, and apartment sizes. Let’s delve into some of the patterns that were observed to understand what the future might look like for developers, end-buyers, and investors.
- Price Range:
As per a report by a leading real estate consultancy, residential properties priced between Rs 50 lakh and 1 crore accounted for the highest proportion of registered properties, with 33%. This figure is closely followed by 32% of properties priced between Rs 25 lakhs and Rs 50 lakhs. Homes priced under Rs 25 lakhs also witnessed an increase of 5% this month as compared to 16% in March 2023. - Apartment Size:
In March 2024, apartments ranging from 500 to 800 sq ft commanded a significant market share of 40 percent. Apartments under 500 sq. ft., on the other hand, accounted for 35% of registrations in March 2024, becoming the second most preferred apartment size in the city. Similarly, apartments with an area under 500 sq ft also attracted considerable interest, comprising 35 percent of transactions in March 2024, positioning it as the second most preferred apartment size. During the same period, the market share of apartments exceeding 1000 sq. ft. was 13%, the same as it was the previous year.
- Homebuyer Demographic:
Homebuyers aged between 30 and 45 years make up the prime demographic share of the Pune housing market, representing a notable 52%. Additionally, young buyers under the age of 30 account for 24% of the market share, indicating a significant presence owing to increasing rent, relatively lower EMIs and interest on loans, as well as the rising per capita income of this generation. On the other hand, homebuyers aged between 45 and 60 contribute 18 percent, representing a somewhat smaller but still considerable portion of the market.
Final Thoughts
The city of Pune is currently positioned at a crucial turning point, poised for significant growth in its real estate sector. As evidenced by the data insights above, Pune’s housing market is experiencing a steady ascent, driven by strong demand for homes, competitive pricing, and exceptional infrastructure. Coupled with the city’s thriving economy, these factors create a conducive environment for attracting a surge of high-yield investments in the foreseeable future.
